cs foundation syllabus-theoretical Framework – Test 3

__________are defined as basic assumptions on the basis of which financial statements of a business entity are prepared.

Which of the following is/are the common accounting concepts?

Which of the following is the common accounting concept?

Which of the following is the common accounting concept?
W. Accrual concept
X. Evidence concept
Y. Matching concept
Z. Reliability concept
Select the correct answer from the options given below-

Business is treated as an entity separate from its owners, creditors, managers and other. This is as per-

The various assets acquired by a concern or firm should be recorded on the basis of the actual amounts involved or spent. This is the assertion of-

Accounting is a measurement and communication process of the activities of the firm that are measurable in monetary terms.

As per________business transactions are recorded on the assumption that the business will continue for a long-time.

If the Going Concern concept is no longer valid, which of the following is true?

If the assumption of the going concern is not valid, the financial statements should-

As per which concept, a clear distinction is made between assets and expenses?

Non-monetary events like, death, dispute, sentiments, efficiency etc. are__________in the books, even through these may have a great effect.

According to “Business entity concept”, business is treated as separate from its-

__________form of business organization is the exception to the going concern concept.

________ concept is bases on double entry book-keeping which means that accounting system is set up in such a way that a record is made of the two aspects of each transaction that affects the records.

The transactions recorded through accounting equation are based on-

Revenue is recognized only when a sale is made. This is as per-

Which financial statement represents the accounting equation, Assets=Liabilities+Owner’s equity.

_______period is normally adopted for accounting purpose.

A per_______concepts in order to determine the profit earned or loss suffered by the business in a particular define accounting period, it is necessary that expenses of the period should be matched with the revenues of that period.

Going concern concept is not followed by-

Which of the following is accounting convention?

According to the________, accounts should report only what is material and ignore insignificant details while preparing the final accounts.

Apart from statutory requirements good accounting practice also demands all significant information should be fully and fairly disclosed in the financial statements. This is as per-

The accountant should not anticipate income and should provide for all possible losses. This is as per-